Chapter BIM55128

Published date22 November 2013
Record NumberBIM55128

Agricultural Property. Agricultural land or pasture and includes woodland and any building used in connection with intensive rearing of livestock or fish if the woodland or building is occupied with agricultural land or pasture and the occupation is ancillary to that of the agricultural land or pasture; and also includes such cottages, farm buildings and farmhouses, together with the land occupied with them, as are of a character appropriate to the property.

Cross Compliance Conditions. These set out standards and requirements that farmers have to meet as a condition of receiving their Single Farm Payment. They are divided into:

  • Statutory Management Requirements (SMR), involving compliance with a range of some 18 European regulatory requirements covering the environment, food safety, animal and plant health and animal welfare, and
  • Good Agricultural and Environmental Conditions (GAEC). These are a set of criteria developed by individual member states and vary slightly between England, Scotland, Wales and Northern Ireland.

Eligibility A claim can only be made by matching PE against an equivalent area of qualifying agricultural land that is:

  • at the claimant’s disposal (on May 15t h in the year in question),
  • in agricultural use for the calendar year.

Breaches of the eligibility rules can lead to significant penalties and even exclusion from the scheme.

Farmer. For SP purposes this is defined in Regulation (EC) No 1782/03 as someone who exercises an agricultural activity and this covers a wide range of farming activities (including growers of fruit and vegetables) but also keeping the land in good agricultural and environmental condition. The definition should also be taken to include growers of fruit and vegetables

Farming. For income tax purposes this is defined as the occupation of land wholly or mainly for the purposes of husbandry, but does not include market gardening which has a separate definition

Financial Discipline. The process by which EU Farm Ministers determine what percentage reductions are required to keep EU spending within budget.

Historic Basis. The method used to compute the value of PE based on the average of actual claims during the reference period of the person farming.

Modulation. The mechanism whereby a percentage of direct aid (subject to a lower threshold limit) is...

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